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Accounting Basics

Why You Need An Accountant

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I want you to imagine that you have a car that doesn’t have a gas gauge, at least a properly working one. Say you want to want to take a trip to Kansas City from Northwest Arkansas, so you peer into the gas tank and think, “sure, that’s enough gas! I’ll just drive.”

You get two hours into your trip and the sputtering starts. You’re out of gas! You might be scratching your head and wondering, “how did this happen?”It happened because you didn't have an accurate gauge of the amount of gas left in your tank. Or maybe you weren't sure how much gas it takes to get to Kansas City. Or you don't know how many miles per gallon your car gets.

That’s what it’s like if you try to run a business without a qualified person maintaining your books. As I share on my website, operating a business successfully is highly correlated to your record keeping.

Benefits of accurate bookkeeping

Are you an independent contractor (receives 1099s instead of W-2s) who must track their expenses and pay self-employment tax? Or perhaps you’re a startup and are trying to give investors a return on their investment. Or, you could have an established small business that you want to grow and become even more profitable. No matter your business size, you must have a quality accountant helping you not only keep current records but helping you understand what those numbers mean.

Success requires accountability

But Wendy, why can’t I just check the balance in my account every few days? Isn’t that enough?

Actually, no and here’s why.

Just tracking your current status won’t tell you what expenses are coming up or what checks haven’t been cashed. Having a qualified bookkeeper like me on your team will not only help you avoid trouble, I can help you find ways to grow and really thrive in your business.  

You might be asking yourself, “how can keeping excellent financial records actually help my business grow?” Let me tell you! By maintaining current and accurate financial records, you will know how your business is performing, what your most profitable product or service is, which expenses are getting out of control, and how much profit you are making. You will also be better positioned to take advantage of opportunities that come along.

Are you a startup or a small business in Northwest Arkansas that is either trying to manage their books on their own or is perhaps not happy with the level of bookkeeping service you’re receiving? I offer a free consultation to discuss your needs and how I can help. Contact me today so we can work together for your success!

Wendy KaneComment